Nationwide Mutual Fire Insurance Company v. Harold Dungan and Bobbie Dungan, United States of America, Farmer's Home Administration

ROBERT MADDEN HILL, Circuit Judge:

Nationwide Mutual Fire Insurance Company (Nationwide) filed this action pursuant to 28 U.S.C. §§ 2201 and 2202 seeking a declaratory judgment concerning whether it was liable on a homeowner’s insurance policy issued by it to Harold and Bobbie Dungan. The Dungans counterclaimed alleging breach of contract and bad faith refusal by Nationwide to pay benefits under the homeowner’s policy. The United States, on behalf of Farmer’s Home Administration (FmHA), intervened seeking a declaratory judgment that it was entitled to recover the proceeds of the policy by…